Is Ethereum (ETH) Price At Risk of Dropping To $2.5K Levels? Here’s What to Expect

The cryptocurrency market has mirrored major stock indexes in Europe, Asia, and the United States in the past 24 hours following the possibilities of crisis escalation in the Middle East. According to the latest market data, Ethereum and Bitcoin prices led the entire crypto market in a 6 percent drop to about $2.39 trillion. 

The ongoing cryptocurrency correction has seen most traders led by whales take shelter in the stablecoins market. 

Furthermore, a fresh rebound rally is anticipated in the coming months after the fourth Bitcoin halving over the weekend. 

Ethereum Remains Undisputed Altcoin Leader

Despite the United States Securities and Exchange Commission (SEC) signaling that Ethereum does not qualify as a commodity like Bitcoin and Gold, the top-tier altcoin has attracted notable attention from institutional investors. According to the latest data, the Ethereum ecosystem has more than $80 billion in stablecoins market cap and nearly $50 billion in total value locked (TVL). 

The recent Dencun upgrade has helped the Ethereum network further compete with upcoming layer-one chains such as Solana (SOL), Toncoin (TON), and BSC, among others. 

Ali Martinez Expectations on Ether Price Action

Having slipped below $2,900 for the first time since mid-February, Ethereum price has signaled short-term weaknesses that could result in further capitulation in the coming months. According to a detailed on-chain and technical analysis by a popular crypto analyst Ali Martinez, Ether’s price will find a solid support range between $2,000 and $2,430 in case of further selloff. 

Moreover, the Bitcoin dominance has been gaining against the altcoin industry and the ETH/BTC pair continues to show further weaknesses.